- Tech giant Google has turned to buy now, pay later providers Affirm and Zip to pilot installment payment options through Google Pay for online checkout in the U.S., the BNPL companies said Wednesday.
- Linking with Google’s mobile wallet means Affirm and Zip will be available as payment options for Android users on some merchant apps and websites offering Google Pay at checkout, according to the companies’ separate releases.
- Affirm’s BNPL option for Google will become available during the first quarter of next year, San Francisco-based Affirm said in a release. Sydney-based Zip has scheduled a test launch of the integration for January, the company said in its release.
The small pilot of the services will mark the first time Google Pay is integrating BNPL options, a Google spokesperson said. It will kick off in early to mid-January and a full launch is planned for a few months later. Eventually, Google Pay aims to add more BNPL partners at that time, the spokesperson said.
By partnering with the BNPL providers, “we are able to give Google Pay users more payment options when checking out, while providing merchants with another tool to drive their growth,” said Google Pay Senior Director Drew Olson, according to Affirm’s release.
With Zip, for example, shoppers using the Google Pay online checkout button on certain merchant Android apps will see a promotional banner within Google's home screen informing them of the Zip BNPL option, Zip’s release said. Shoppers who tap on the banner or opt to change their payment type will see a list of BNPL providers available.
Jamie Cunningham, director of strategic partnerships at Affirm, called it a “step forward in our distribution strategy,” since digital wallets are being used more frequently by shoppers than they were before the COVID-19 pandemic, and mobile commerce is growing faster than overall e-commerce, according to the company’s release.
Affirm also counts Amazon Pay and Shopify’s Shop Pay as digital wallets integrated with the company’s installment payment options.